Banca Comercială Română (BCR) has become the first financial institution to sign a guarantee agreement with the Bank for Investment and Development (BID), under the new portfolio guarantee program for small and medium-sized enterprises (SMEs). The partnership enables BCR to grant SME loans exceeding 1 billion lei, using a BID guarantee ceiling of 710 million lei.

Through this mechanism, BID guarantees can cover up to 70% of each loan’s value, and up to 80% for start-ups, women-owned or innovative companies. The guarantees can extend for up to 10 years, providing businesses with long-term investment flexibility.

The BID scheme reduces collateral requirements, making it easier for companies to obtain financing without blocking their own assets. Entrepreneurs can access funding for equipment, capacity expansion, digitalization, energy efficiency, or working capital.

“For BCR, this partnership brings together the public and private sectors to transform the economy and strengthen entrepreneurial competitiveness. The agreement between BCR and BID supports discussions with entrepreneurs about relevance, productivity, innovation, and integration into international value chains,” said Sergiu Manea, CEO of Banca Comercială Română.

Companies eligible for BID guarantees must be financially viable SMEs, free of state debts and insolvency, and compliant with sustainability and environmental requirements.

The Bank for Investment and Development, established at the end of 2023 and wholly owned by the Romanian state, aims to support sustainable economic growth through modern financing instruments for the private sector.